Question
A negative permanent long run supply shock eventually results in A. Output and inflation returning to its potential level B. Output declining but inflation returning
A negative permanent long run supply shock eventually results in
A. Output and inflation returning to its potential level
B. Output declining but inflation returning to its potential level
C. Both permanently changing
D. Inflation rising but output returning to its potential level
Please if you could answer this question with a great explanation I would really appreciate it. Thank you.
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Power And Plenty Trade, War, And The World Economy In The Second Millennium
Authors: R Findlay, Ronald Findlay
1st Edition
0691143277, 9780691143279
